Consider a lottery that pays to the winner an annual annuity of $ 8 0 that begins

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Question:

Consider a lottery that pays to the winner an annual annuity of $

80

that begins in one year and continues for

8

consecutive years with one exception

- -

the payment at the end of year

3 (

and only in this year

)

is not $

80

but instead is $

120 .

Using an interest rate of

5 %,

determine the present value of this prize.

Posted Date: May 11, 2024 03:18 AM

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Consider a lottery that pays to the winner an annual annuity of $ 8 0 that begins

Question:

Expert Answer:

Okay lets break this down stepbystep Given information Annual annuity payment of 80 for 8 years Exce... View the full answer

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